All of the dealerships in California are required to be licensed.If you only plan to sell your cars online, you will need to have a physical location in order to do so.You can start an online car dealership if you follow a few simple steps.
Step 1: Decide if you want to sell new or used cars.
You can either be a new or used car dealer in California.You need to be licensed as a new or used car dealer in order to deal, sell, or broker.Think about the types of vehicles you want to sell.Used car dealerships are allowed to sell used cars, but new car dealers are not.New car dealers have to be franchised by the manufacturer.If you plan to sell new cars, you will have to check with the manufacturer to make sure that you meet their guidelines.A new car dealership may also sell used cars.Used car dealers are not allowed to sell new cars.Some in-person paperwork will still be required for selling cars online.The paperwork to purchase a car must be done in ink.
Step 2: If you want to work as a used car dealer, you need to take a Pre-License class.
All used car dealers have to take a six hour Pre-License Class.To find out what the licensing requirements are for the manufacturer, new car dealers need to contact them.Car dealers have their own educational standards.To find a list of providers for used car dealers, visit the website of the Department of Motor Vehicles.
Step 3: Your local inspector's office can be reached.
The people are responsible for evaluating your application.They can answer questions about the dealer licensure process.Call (916) 229-3126 if you have questions about the dealer licensing process.You can find a list of inspectors on the website.
Step 4: The dealer's handbook can be obtained.
If you want to become a car dealer in California, you should read the dealer's handbook.The handbook can help you navigate the process.The dealer's handbook can be found at: http://www.dmv.ca.gov.
Step 5: A criminal background investigation is not advisable.
It can take up to four months for a background check to be completed in order to get a dealership license.This investigation is done to make sure people don't end up being unethical dealers.If you're worried that you won't pass a background check because of a criminal record, you can file abreviated application, which will allow you to wait and see if you pass.All dealers and salespersons are required to get fingerprints.
Step 6: You can apply for a dealer's license.
Depending on the kind of dealership you want to run, there are various forms you need to file.You need to file all of the paperwork.If you have questions, contact the inspector's office.If you want to open a new car dealership, you need to download the required forms from the Department of Motor Vehicles.
Step 7: Fees associated with licensure are paid.
You will not get a license to operate if you don't pay all the fees.Government fees may be different from manufacturer fees.It may cost hundreds of dollars to fully pay for your license.The initial application fee is non-refundable, as well as the Family Support Program fee and the New Motor Vehicle Board fee.
Step 8: Decide on a place.
Even though you will be selling your cars online, you need to have a physical location where people can see them.The display area is called this.It's important that the display area is large enough to hold all of the vehicles that you have listed on your website.Before you can open your online dealership, you need to inspect your display area.
Step 9: The fees need to be paid.
The fees may be around $116.Make sure the new fees have not been added.You can make sure by calling the inspector's office.A $5 non-refundable application fee is one of the fees.
Step 10: It will take about 120 days to hear back from you.
The application, location, and other aspects of your business have to be examined by the Department of Motor Vehicles before they will approve your license.You can begin selling cars if your application is approved.It is illegal to sell cars without a license.You will need to show proof of continuing dealer education every two years if you want to keep your license.
Step 11: You can build a website.
Do you want to be an online dealer?Some online dealers are able to sell vehicles at dealer-only auctions.Pre-owned vehicles may be refurbished by others.You could use your website to promote your new car dealership.Think about how you will use the website to sell your cars and then build a website that serves that purpose.If you don't feel comfortable with the idea of building a website, then you can always hire someone to build it for you.Website builders will talk to you to find out what you want and then create a website that works for you.
Step 12: You can offer a live chat.
Potential customers can ask questions about the cars that you have for sale with a live chat feature.If you have a live chat feature, you will need to be available to respond to any messages that come in.Live chat is a great way to connect with potential customers and close a sale, but it can be a big time commitment if you don't get a lot of messages in a day.You can limit your live chat hours to regular business hours, such as Monday through Friday from 8am-5pm, or hire someone to manage the chat when you can't.
Step 13: Don't forget to post photos of your cars.
It's important for an online car dealership to have good photos.Your website visitors are going to expect to be able to look at many photos of a car before they decide to buy, so you may want to invest in a good camera.Take pictures of your vehicles from many different angles.Visitors to your website should be able to see the vehicles from every angle.Before taking pictures of your vehicles, clean them on the inside and outside.Dust and dirt make a car seem less appealing to online visitors, so it's important to deep clean your cars before you take a picture.As the sun is setting or rising, take photos of your vehicles outside.Natural light will help to make your photos look professional and the details of the car will be easier to see.
Step 14: Detailed descriptions are written.
It's not possible to show all of the features of your vehicles on the website.Your descriptions should be as detailed as possible.Information about each vehicle's features and any other information that website visitors might want to know should be included.The year, make, and model of the vehicle are some things you may want to include.There are special features such as power windows, power locks, and sound system.
Step 15: You should include prices for all of your vehicles.
The reason people shop online for cars is to compare prices.Visitors to your website may be less likely to consider your vehicles if you don't provide prices for your cars.